Shanghai's Xuhui District has announced a new set of incentives for biopharma businesses at the weeklong Shanghai International Biopharma Industry Week 2022.

The district government will provide a subsidy of up to 15 million yuan (US$2.12 million) for the research and development of innovative medicines and medical devices.

A major industrial hub in the Fenglin area, as well as two bases in Caohejing and West Bund, will serve as the biopharmaceutical highlands with global outreach.

According to the district's science commission, eligible life health firms registered in Xuhui can receive up to a 5 million yuan support to cover their early operation costs.

In 2021, Xuhui ranked top among local districts in terms of clinic research on new medications. According to Zhang Ning, the commission's director, three innovative medicines and 27 medical devices have been approved this year.

Xuhui is home to eight city-level hospitals and more than 250 medical institutes, as well as major pharmaceutical corporations like Merck & Co.

On Tuesday, the district unveiled plans for a new office park in Fenglin, one of the few downtown innovation parks specializing in biopharma sectors. The Ruichuang Valley, located near the Metro Line 3 Shilong Road Station, will primarily focus on cell treatment, medical equipment, new pharmaceuticals and high-end medical services.